See " Bill Broker."
Really paper money issued by authority of a government. No better definition has ever been given than that of Chief Justice Marshall, who defined a "bill of credit" as "paper issued by the sovereign authority and intending to circulate as money." The Constitution of the United States provides that the Legislature of the United States shall have power to borrow money and emit " bills of credit " of the United States. The Constitution further provides that the individual States shall not emit "bills of credit" or make anything but gold and silver coin a tender in payment of debts.
1 (See first paragraph under "Exchange.")
1" Bills of exchange are said to have been invented in the 14th century by the Jews or the Lombards, for the purpose of withdrawing their prop erty from the countries from which they were expelled." - J. W. Gilbart.
The laws of one of our States well defines a " bill of exchange " as follows: " A bill of exchange is an unconditional order in writing addressed by one person to another, signed by the person giving it, requiring the person to whom it is addressed to pay on demand or at a fixed or determinable future time a sum certain in money to order or to bearer." 1
An abbreviated expression for " bills of exchange."
A person's " bills payable " are all his unpaid evidences of indebtedness, such as notes, acceptances, etc., held by others against him. (See " Accounts Payable " and " Notes Payable.") They are " bills payable " from the standpoint of the person owing them and " bills receivable " from the standpoint of those to whom they are due. The distinction between " bills payable " and " receivable " and " notes payable " and " receivable " is that in the former case they represent indebtedness due or receivable for goods bought or sold or services rendered, whereas they become " notes payable " or " notes receivable " when, instead of payment in cash being made for the sum due, a note or other formal instrument of indebtedness is given in lieu thereof. " Notes payable " or " notes receivable " would also include evidences of indebtedness for money in the direct form of loans.